Xpeng Motors has raised US $400 million in funding from a group of strategic and institutional investors. It also announced that Xiaomi Corporation, a global leader in the technology and consumer electronics sector, will join as a strategy investor.
The Chinese EV maker has previously received funding from prominent Chinese and international investors including Alibaba Group and IDG Capital.
Mr. He Xiaopeng, Chairman and CEO of Xpeng Motors, says: “The signing of the new fundraising, which not only attracted new strategic investors such as Xiaomi Corporation but also received strong support from many of our current shareholders, is a renewed endorsement of our long-term strategy, execution capability and prudent business model.”
Mr. He adds: “We are a strong believer that smart mobility and autonomous driving are going to transform our daily lives, and we share the same vision with Xiaomi that technology innovation is the key driver in reshaping our future transportation. Xiaomi’s experience and insight in consumer behavior, technology knowhow and market trends can add tremendous value to what Xpeng Motors is set to achieve.”
Mr. Lei Jun, CEO of Xiaomi Corporation, adds: “Xiaomi Corporation and Xpeng Motors have achieved significant progress through in-depth collaboration in developing technologies connecting smart phones and smart cars. We believe that this strategic investment will further deepen our partnership with Xpeng in advancing innovation for intelligent hardware and the Internet of Things.”
Mr. Brian Gu, Vice Chairman and President of Xpeng Motors, comments: “2019 has been an eventful year dominated by economic headwinds, uncertainties in the global markets and government policy changes that have had direct impact on overall auto sales in China. However, we were able to attain most of our business and financing targets, despite the difficult circumstances. We have demonstrated to our shareholders our ability to sustain our business in the face of these challenging conditions.”
Mr. He says Xpeng is committed to investing in the development of in-house technologies and smart manufacturing.
The company says it plans to launch the P7 sedan – which was premiered at the Auto Shanghai show in April 2019 – in spring 2020 and it will start delivery in Q2.
To watch our interview with Mr. Brian Gu, follow the link below.